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Special tax regime for impatriates: requirements for application of the Beckham law

by Prof Jesús Ruíz Ballesteros

Known as the Beckham law, this tax regulation is widely used by foreign executives who come to Spain to work for their companies, because it allows them to pay income tax at a rate of 24% (up to EUR 600,000) instead of 45%. 

In order to apply this special regime, the following requirements must be met:

  1. You must be a Natural Person, and not have been a tax resident in Spain during the ten years prior to the time when their posting to Spanish territory takes place.

  2. The move to Spanish territory must be for one of the following reasons:
    a. As a consequence of an employment contract (except for professional sportsmen and women).
    b. As a consequence of acquiring the status of director of an entity in whose capital you do not have a shareholding or, otherwise, when the shareholding in the same does not determine the consideration of a related entity.

  3. You do not obtain income through a permanent establishment located in Spain.

If you meet these requirements, you may opt to apply under this special regime, in which case you will be subject to Spanish Wealth Tax by real obligation, and this approach will entail the following special features:

  1. You must pay tax on your worldwide income in Spain.

  2. You cannot set off different incomes against each other, i.e. you cannot set off losses against gains.

  3. Capital gains are taxed like other residents, i.e. 19% for the first EUR 6,000, 21% for up to EUR 50,000, 23% for up to EUR 200,000, and 26% for the excess.

How long do I have to apply for inclusion in the special regime?

The deadline for submitting the application is six months from the date of registration with Spanish social security or from the modification in the social security of the country of origin, for which Form 1 is always required, which is a standardised form at the European Union level. The regime can be applied during the financial year in which it is requested and the following five tax periods.

Photo: Val Thoermer -


15 August 2022

Prof Jesús Ruiz Ballesteros

Ruiz Ballesteros Lawyers and Tax Advisors, Economist & Lawyer

Ruiz Ballesteros Lawyers and Tax Advisors